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The Holden brand simply isn’t what it used to be. All the while, current Holden brass realizes it may have done itself additional harm by alienating its base and core consumers at a time when much of the buying public is indifferent to the lion badge.

Mark Harland, Holden executive director of marketing, spoke with GoAuto and confirmed the brand has already launched a search for a new marketing agency. The new firm will be selected before manufacturing operations end this coming October.

“We’re at an all-time low in terms of the brand,” Harland admitted. “There’s been years in a bygone era that people would just buy whatever Holden put their name on. We have world-class products, in the showroom and coming that are as good, if not better than any other competitor.

“But we have a brand that people are unsure of. People are wondering: ‘What is the Holden brand and where are we going in the future?’”

52 percent of negative feeling surrounding Holden have to do with the closure of its manufacturing operations, Harland said. He also added 65 percent of the Australian population is “indifferent” to Holden. “It doesn’t mean they love us, it doesn’t mean they hate us, so that’s an opportunity. Our loyalty (rate) at Holden is not nearly where we need it to be,” he explained.

As for current marketing and advertising strategies, Harland also blatantly admitted it hasn’t been a well-thought execution. In a lengthy explanation, he said the following:

I would say, without pointing out any individuals or any individual piece of work, then I would certainly say that we may have swung the pendulum too far (towards younger buyers) at times.

We’re not doing very well with females – younger or older females for that matter. We need to build the brand with younger demographics, with females, at the same time as what I like to tell my team is we’re putting our arms around and embracing our owner base, the people that have been with us forever.

Everyone said: ‘We got to move away. We can’t be just talking about V8 Commodores and the guys who drive V8 Commodores, and we’ve got to go all the way over here and just talk to 20-year-old females.’

I’d say at times we swung the pendulum too far. The thought is right, but the execution was wrong. We can’t completely walk away from the people that have been with us forever.

Holden has nine or ten agencies bidding for the brand’s contract. The first round of proposals is underway and a new agency will likely be selected in July, Harland said. When it is selected, Harland plans an all-out marketing and advertising blitz with the 2018 Holden Equinox, set to arrive later this year. Following that, the 2018 Commodore and Acadia will be focal points.

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20 Comments

The GM parent company needs to understand that the “Holden” car’s success was originally because of VERY HIGH import duties which Australia had during the 1950s, 1960s, 1970s and to a lesser extent the 1980s onwards

These import dutys made fully Imported cars, be they Chevrolets or Pontiacs were very expensive and simply out the financial reach of the average Australian buyer.

This created a unique market for an Australian manufactured car, but that car had to be only basic in specification and equipment. Late in 1948 the FIRST Holden sedan rolled off the GM-Holden assembly line. That’s just 69 years ago! The Holden brand name has NOT been around very long.

From the first 1948 Holden, the Holden provided an economical alternative to the working class Australian and that and nothing else is the very reason why it sold so well during the 1950s and 1960s.

As Australian import duties were reduced, the price of imported goods (including cars) dropped and this created ever increasing competition for Australian manufactured goods such as the Holden.

To address this, GM-H added luxury models such as the Holden Caprice to attract buyers who in the 1960s would have purchased a new Chevrolet or Pontiac from their local GMH dealer. GM-H also added sport models and even 2-door coupes.

Today however, GM-Holden showrooms inceasingly display cars that are near enough to identical to GM cars sold all over the world! Once the last rear wheel drive V8 Holden leaves its South Australian assembly line this October, there will be simply NO POINT in the brand name of Holden.

1948 was near enough to 69 years ago and the world has changed considerably in that time! The encomonic reason for a locally manufactured car is history. Mercedes Benz was in the 1960s a VERY EXPENSIVE car. A 1964 Mercedes Benz 190 4 cylinder sedan cost three times more than a 1964 Holden Special Sedan! Think about that one! You could buy 3 brand new Holdens for what the cheapest Mercedes Benz would cost you.

Now, in 2017 Mercedes Benz cars sell in Australia for considerably less than many Holden models. The taxi industry even uses Mercedes Benz vehicles now!

There is no question the GM-H should retire the 69 year old Holden brand in October and immediately focus on becoming known as GM – Australia offering a range of imported brands from Cadillac for the premium market and Chevrolet for the mass market.

GM-Holden can employ whatever marketing people they like, but the above facts, past history and current facts confirm that the Holden story has now come to an end. RIP Holden. Let’s see Chevrolet & Cadillac return to Australia.

Holden is yet another damaged, neglected GM brand. Mary Barra will probably sell it to PSA soon.
Holden, like Ford and Toyota, should be able to survive the end of local production. The big problem is the legacy of imported Korean eco boxes that destroyed brand cache. I doubt that Holden can be saved.

You didn’t mention at all the Police and Speed Camera blitz that began in 1985 and hasn’t stopped since. Holden built their reputation and success on the price-for-the-man-in-the-street as you say. They need to include women, as this boss says.

However, because of the Police and Speed Cameras, all that performance-based marketing became useless, leaving only the man-in-the-street-price marketing, which even Mercedes can now match, as you say.

1. Speed cameras are everywhere. They don’t give even 1km/h grace. Roads are limited to single lane each way in 95% of the land, so bumpa-t-bumpa conga-lines of 20+ cars train down that lane at EXACTLY 100km/h. Fines for literally 101km/h start at $200+, and 111km/h nets $300+, and 121 km/h (thats 75mph, folks) is $400+ probable loss of license for 2 years. And, just try challenging that in front of an Australian judge.

2. Aussie learner-drivers have to spend a whole year driving at 50mph-max, then another two years after that with a 55mph-max, no matter what the road limit is. Older drivers who get stuck behind these folk in the conga lines have no option but to follow them. In the 500-feet overtaking opportunity every 20km, they would need to go 110km/h to overtake safely, then CLICK! Speedcam $300, 8 points off your 12-point license.

3. Australian Police Officers’ behavior is out of control. Just watch World Rally Championship videos of greats like Sainz and Loeb being stopped and prevented from finishing the Australian WRC round because of tiny faults that WRC folk have zero problems with anywhere else on earth. Jeremy Clarkson and Richard Meaden and many many other journo’s also have lurid stories about their encounters with Aussie Police.

4. I had that 50mph max because I was 17yo, and I was doing exactly 50mph in open countryside, only a couple of roo’s for company. I saw a Police car parked beneath a tree, and I waved hello. It’s pretty lonely out there in the bush, mate. SIREN!!!! I pulled over. Immediately an irate Police Officer ran at me yelling “What the f.. hell were you waving at us, boy?” I replied “Just Hello, sir” with my license and rego at the ready. The first Officer kept yelling in my face until the other one said to stop. So then the first one spent 20 minutes inspecting every single detail of my car. Lucky I like cars, so mine was good to go. Which infuriated this Officer even further. More questions about my ‘sign’. Eventually I asked the other Officer if I was arrested. Then finally they retreated and let me go.

5. I’m casually strolling down Paramatta Rd Leichhardt (Sydney) at 1:00am after seeing Australia’s best Jazz (Ten Part Invention) and a random car aggressively pulls over another car and stops them. Out jump two neat-casual dressed thugs who run to the other car and yell “We’re the Police, get out!”. I didn’t have a phone because I no longer live in Aussistan, so I just waited until the incident was over and the other car left. I approached the Police Officers and asked “Sir, may I please see your badge, just once to make sure everything is OK”. He told me to … off or he’d arrest me. He said they were ‘plain-clothes’. I never saw one single piece of Police identification, on their clothes, or their car.

6. It is illegal to advertise any HINT of speed. All car sellers constantly face legal action from Australia’s “Pedestrian Council” (seriously, I’m not joking), and several judges have enforced major fines on OEM’s for having ads with even a picture on a garage wall of a racing car, and other extremely weird rules.

7. So, Aussies aren’t allowed even 1km/h over the speed limit, and zero dunk driving. So we’re safer, right? Nope. Overall road death percentages are virtually identical to America. Two reasons, first is obvious, most Aussie drivers are ‘trained’ by their stupid parents and asleep at the wheel in conga lines. The less obvious but more fatal reason, Aussies can re-register their cars by mail. No inspections, even if its 50yo, even if the shocks are water and the tires treads are metal weave.

The reality is that there will be no RHD halo cars for Holden and Australia, no matter what GM may claim.

The case for developing RHD Cadillacs, Corvettes, Camaros, Silverados, etc. for Australia (and New Zealand) alone just doesn’t stack-up, especially since the sell-off of Opel-Vauxhall and the decision to pull out of all Africa south of the Sahara by end of 2017, along with ending sales (though not production) in India and Pakistan.

The United Kingdom (RHD) is/was GM’s fourth largest global market. The 14 RHD countries GM is exiting in central and southern Africa combined, sell well in excess of annual Holden sales, and in time to come India will be the next China in terms of growth … so potentially huge future RHD sales opportunity lost there.

Once the current Opel sourced Astra and new Insignia have run their course in Australia, by 2025 Holden will be left with Korean product only, which very sadly will sound the death-knell for the brand.

There can be no justification for developing halo cars for such a small RHD market. No doubt GM will beg to differ!

I can’t tell you how happy this makes me! The people of Australia are getting what they deserve! Holden went to battle against the Australian government and GM and they lost big time! Now they are looking to GM to help them return to the glory! I say let holden die on the vine and get them off of GM’S books so GM can stay profitable for years to come.

You may look at this as being harsh but it’s the truth and sometimes the truth hurts!

In other news, grass is green, sky blue. I REFUSE to believe no one saw this coming. This is what happens when you stop manufacturing products in your own country entirely, offer no original Australian product (only imported, rebadged Opels, Chevrolets and even a GMC), discontinue the RWD Commodore line which was the ONE product line from Holden that actually had any kind of loyal following, only to then slap the “Commodore” badge on a FWD German Opel Insignia in what I believe was an act of malice towards RWD Commodore fans. It was SUCH an insult to the only loyal customers they had. It would be like making the Camaro or Corvette FWD. The rumors about the next Commodore being a FWD Insignia went on for ages and no one was ever on board with it. The pushback was massive. They knew it and did it anyway. Holden no longer has an Australian identity, or any identity for that matter. The brand is just a melting pot of different automotive design languages with Holden badges on them. Why wouldn’t customers consider other brands when they have no legitimate reason to stay?

“We’re at an all-time low in terms of the brand,” Harland admitted. “There’s been years in a bygone era that people would just buy whatever Holden put their name on. We have world-class products, in the showroom and coming that are as good, if not better than any other competitor”

GET USED TO IT – SOON YOU WON’T SELL ANYTHING I WANT – 4dr sedan RWD with option of V6 or V8. Get it – Goodbye

I’m with you there, Rob. In a previous post, Generous Motors Holdtights stated that there is a lack of customer loyalty. What goes around, comes around and it’s coming fast. I’m happy that the Germans still know what a tail shaft is for.

If you asked me what replaced the Ford falcon, I could not tell you since they closed their factory. When Holden close their doors the same applies. I don’t care to know, I don’t won’t to know. I just finally managed to sell my German based holden Astra opel. Would I go there again? Hell no!!!

GM, (General Motors) at least from an historical prospective during most of my 65 years on this planet were known for their leading, cutting edge engineering. There are many well know examples of this engineering and many not so well known.

Just consider Ed Cole’s outstanding 265 and 283 cub inch small block Chevrolet V8 engine. Forget all the high perform rubbish, these early engines in standard form with an effective muffler could hardly be heard even under power. Their low compression heads, smooth running and outstanding fuel economy are legendary and this V8 engine quickly became the benchmark on evaluating every other V8 engine.

And how about the GM Turbo Hydro GM automatic transmissions or the famous 6 cylinder GM air conditioning compressor that found its way not only into GM products but also into Rolls Royce and top of the range Ford products.

Harley Earl, Bill Mitchell, Ed Cole and other GM greats must be rolling over in their graves.

I am an Australian, and even our own small GM – Holden division in Australia did some ‘small by comparision’ but nevertheless impressive development work that influenced GM products worldwide.

It’s not so long ago that brands like AC Delco automatically meant quality but in recent years these brand names can no longer be trusted.

As an Australian, I will not miss the brand Holden for a second. The brand Holden is but a small, very small part of the General Motors Corporation. In 2017 there is no longer a need for an Australian brand. Today we are instantly connected to the rest of the world. International brands are what it’s all about today.

Holden as a brand is slowly being put to death. The falling sales confirm this. My concern is whether GM will feature in Australia at all? I remain FIRMLY of the view that a future Australian GM MUST be centred around the GM ‘book end’ brands of Chevrolet & Cadillac.

Engineering cars for a RHD market is something every other manufacturer does without problem, so come on GM starting doing what Ed Cole, Harley Earl and the Bill Mitchell’s did. Let’s see GM lead again rather than follow, by simply produce what everyone else produces.

I sincerely worry, that we not only seeing the closure of the Holden brand, but perhaps also GM as we have known it.

If GM continues to see diminished sales in Australia, it is possible that they pull out of that market all together. They have pulled out of other smaller markets and with the sale of Opel/Vauxhall, it is not out of the question for them to abandon Aus/NZ if they can’t get that distant ship turned around.

I don’t really want that to happen, but I see the possibility. Holden is a part of GM, it’s not about one being deserving of the other. It wasn’t Holden’s decision to pull out manufacturing in its home country, that was GM. It wasn’t Holden’s decision to set import tariffs that hurt domestic products, that was the Australian government (at the objection of GM/Holden). It’s hard to blame the people for this when other factors have hurt GM’s reputation and perception. There’s plenty of blame to go around and the majority of it doesn’t fall on the people.

When it comes to support for a brand. From the 1920s until the early 1970s Australians held the Chevrolet brand in very high regard.

Particularly in the 1950s and 1960s if you wanted a car that could handle the then harsh Australian conditions then it had to be a American car in preferably a Chevrolet. Generations of well off Australian daily and cattle beef farmers will confirm this.

The falling interest in the Holden brand is no different to the falling interest in Chevrolet in the USA. I have travelled the USA extensively. 17 trips to the USA, each trip for at least 6 weeks. I have driven in excess of 45,000 miles throughout the USA and have extensively visit each state. My 18th visit to the USA comes up on July 12 this year and this time I will be in the USA for 2 months!

With so much travel to the USA since my first visit in November 1982, I watched over these visits with increasing disappointment the increase in European, Japanese, Korean and now Chinese brands. In my earlier (1980s) trips USA roads where a showroom of white wall tires, Cadillacs, Buicks, Oldsmobiles, Pontiacs and the much respected ‘Chevrolet’.

The same has happened in Australia GM dealerships closing and Holdens disappearing from our roads to be replaced by Mercedes Benz and BMWs.

Australia is approximately the same size as continental USA, however we have a much smaller population. Percentage wise the reduction of Chevrolet sales in the USA is much the same as Holden in Australia.

IMPORT DUTY
The Australian Federal Government imposed import duty after World War Two so that GM could afford to build a number of assembly plants around Australia. Almost one in each state! Without this import duty on imported goods the ‘Holden’ brand would have ever existed, so its wrong to say that GM-Holden did not set the import duty, they certainly did and need its protection to enable local manufacturing.

In the 1960s Australian manufactured its own radios, televisions, washing machines, aircraft and cars. All these industries have gone or are going as import duties have been reduced to next to nothing.

Bottom line is simply kill off the Holden brand quickly, not slowly and then focus the new International General Motors for Australia as an importer of Cadillac for the Australian premium market (a growing market) and Chevrolet for the mass and lastly the small performance market. Within a few months the Holden brand of the past 60 plus years will be all but forgotten.

Doing the above gives GM the flexibility of introducing at time new brands should market demand them, but I would see advantages in keeping it simple. Just Cadillac and Chevrolet.

I agree Carl Kelsey. I don’t believe Korean or Chinese manufactured GM products will ever be held in high regard. And my experience with European GM has not been nice. A concentration on American GM products is a much smarter move.
. Even Japanese vehicles have endless life expectancy issues with new EGR regulations, turbo and increasing hp/kW per engine capacity well beyond what they did years ago.
. A vehicle having over 100kw a in the 90’s wasn’t so common. Now it is expected. But so to is failure rate beyond your 120’000km with these 100 plus kilowatt vehicles.

They came close to hitting where they needed to be when they teased people with a new Torana. I think it was about the time just before they introduced the VE. If it had of been a smaller Torana, they would of been right on track to introduce a turbo 4 or 6. And could of retained the original 5 litre and upgraded it to all alloy twin cam and the works. It would of been far more Australian. It might have been more comparable to the popular M3 instead of the not so popular M5. And with a smaller hot A9x hatchback versions, they might of just got women interested. If marketing were wanting to read some thing from loyalist, they would read this column. But they are not interested. And for the same reason I am not interested in them. At the end of the day they design a car via world wide popular demand now. And ignore what their local market has trying to tell them.